Textiles

Levi Strauss reported $1.61 billion in revenue for the quarter ended August 2026, a year-over-year increase of 4.3%, with EPS of $0.48 versus $0.34 a year ago. The revenue came in just below the Zacks Consensus Estimate of $1.61 billion, a surprise of -0.3%, while EPS beat the $0.36 consensus by 33.33%. Within the quarter, Americas revenue was $839 million against a four-analyst average estimate of $834.05 million, up 4% year over year, and Europe revenue was $442 million versus an estimate of $451.47 million, up 3.7%. Asia revenue came in at $293 million compared to a $292.56 million estimate, up 5.5% year over year, while Beyond Yoga revenue was $36 million against a $36.81 million estimate. Total Levi's Brands net revenues were $1.57 billion versus a four-analyst average estimate of $1.58 billion, a year-over-year change of 4.2%.

Levi Strauss & Co. reported third-quarter results that exceeded profit expectations and raised its full-year margin and earnings outlook, sending shares up 1% after hours. The denim maker posted adjusted earnings per share of $0.48 for the quarter ended August 30, beating the analyst consensus of $0.36 by $0.12, while revenue reached $1.61 billion, up 4% year over year from $1.54 billion but slightly below the $1.62 billion analyst estimate. On an organic basis, revenue increased 5%, and the company raised its full-year adjusted EPS guidance to $1.54-$1.56, with a midpoint of $1.55 slightly higher than the analyst consensus of $1.54. Operating margin came in at 13.8%, up from 10.8% a year earlier, adjusted EBIT margin expanded to 15.5% from 11.8%, and gross margin improved 450 basis points to 66.2%, helped by tariff refunds totaling $79 million, about $25 million of which was redeployed back into the business during the quarter. For fiscal 2026, Levi Strauss raised its gross margin guidance to up 130 basis points versus the prior year from previous guidance of up 10 basis points, and increased its adjusted EBIT margin outlook to approximately 12.1%, up 70 basis points versus the prior year.

Levi's reported third-quarter adjusted earnings of 48 cents per share, well ahead of the 36 cents Wall Street analysts expected, and raised its full-year profit outlook. Revenue came in at $1.61 billion, just shy of estimates. Looking ahead, the denim maker now sees full-year adjusted EPS of $1.54 to $1.56, up from its prior range, and is targeting about 6% organic revenue growth for the year. Levi's also said its direct-to-consumer business remains on track for mid single digit growth in the fourth quarter, and announced a $100 million accelerated share repurchase program.

Levi's reported third-quarter 2026 revenue of $1.61 billion, up 4.3% year on year and in line with Wall Street's estimates, while adjusted earnings per share of $0.48 came in 34% above the analyst consensus of $0.36. Adjusted EBITDA reached $303.4 million against estimates of $247.5 million, an 18.8% margin and a 22.6% beat, and operating margin rose to 13.8% from 10.8% a year earlier. Management raised its full-year adjusted EPS guidance to $1.55 at the midpoint, a 4% increase, and free cash flow swung to $44.3 million from negative $39.4 million in the same quarter last year. Constant currency revenue rose 5% year on year, down from 7% a year earlier, and President and CEO Michelle Gass said strong growth in international and wholesale businesses offset a direct-to-consumer shortfall, with that business on track for mid-single-digit growth in the fourth quarter. The stock remained flat at $19.43 immediately following the results.

Levi Strauss & Co. reported third-quarter net revenues of $1.6 billion, up 4% on a reported basis and 5% on an organic basis versus the prior year, and raised its full-year 2026 margin and earnings outlook. Operating margin was 13.8% and adjusted EBIT margin was 15.5%, while diluted earnings per share from continuing operations came in at $0.43 and adjusted diluted EPS at $0.48. The company said it will initiate a $100 million accelerated share repurchase program and declared a dividend of $0.16 per share, a 14% increase over the prior year. For fiscal 2026, Levi Strauss now expects reported net revenue growth of approximately 7.0%, organic net revenue growth of approximately 6.0%, gross margin up 130 basis points, adjusted EBIT margin expanding to approximately 12.1%, and adjusted diluted EPS of $1.54 to $1.56. The quarter's results included a tariff refund benefit that contributed 490 basis points of gross margin expansion, of which approximately 120 basis points were redeployed back into the business.

Needham praised Levi Strauss's appointment of John Vandemore as chief financial officer, replacing Harmit Singh. Vandemore previously served as CFO of Skechers for 9 years, helping build it into one of the world's largest footwear brands with over $9B in revenue, and earlier held senior finance roles at Mattel, Disney, and International Game Technology. Analyst Tom Nikic said the firm views the appointment positively, citing Vandemore's experience across a similar global lifestyle brand with roughly similar margin profiles of about 10% EBIT margin, about 50% of revenue from the Americas, and a split of roughly 55% wholesale and 45% DTC. Needham maintains a Buy rating on Levi Strauss with a price target of $28.00.

XtalPi has submitted an Investigational New Drug application to the U.S. Food and Drug Administration for KQTD-126, a potential first-in-class gut-restricted pan-TRK inhibitor for chronic intestinal pain associated with irritable bowel syndrome and inflammatory bowel disease. The candidate is the first program from XtalPi's proprietary pipeline to reach an IND submission since the portfolio was unveiled in the company's recent interim results. In preclinical studies, KQTD-126 achieved pan-TRK inhibition at sub-nanomolar concentrations, with an IC50 below 1 nM, and a gut tissue-to-blood exposure ratio exceeding 1,000 to 1, confining activity to the gastrointestinal tract to limit systemic exposure and avoid the neurological side effects of systemic TRK inhibitors. XtalPi said the compound was designed using its generative and predictive AI models integrated with automated chemistry robots, a closed-loop process of computational design, automated synthesis, screening, and molecular refinement. IBS affects approximately 10% to 15% of the global population, while more than 10 million people live with IBD, and BCC Research projects the global IBS and IBD therapeutics market will reach US$52.6 billion by 2030.

XtalPi announced that Viva-Thera, a biotechnology company it incubated and backs as a strategic shareholder, has nominated a preclinical candidate targeting the membrane-proximal external region of HIV-1 gp41, completing discovery and optimization in seven months by combining Viva-Thera's atomic-resolution structural research with XtalPi's AI drug design and automation platform. Deploying generative AI from the outset, XtalPi navigated a chemical space of approximately 10 million compounds to isolate five validated hits with desirable drug properties and strong antiviral activity, then continuously optimized the leads to reach PCC nomination. The asset targets gp41-mediated membrane fusion at MPER, a region that retains approximately 90% sequence identity across viral strains, opening a path toward a broad-spectrum antiviral with a binding site distinct from those addressed by reverse-transcriptase, integrase, and protease inhibitors. In its public debut, Viva-Thera also reported that its MPER vaccine immunogens elicited antibody levels in rhesus macaques approximately five times those of the conventional HIV immunogen comparator, with antisera retaining substantial inhibition of HIV pseudovirus infection at a 1:1,000 dilution. The company is pursuing HIV prevention and cure through four modalities—vaccines, long-acting small molecules, gene therapy and cell therapy—and its gene-therapy program has completed vector construction, cell-infection experiments and CD4+ T-cell introduction in humanized mice, with live-virus infection and treatment studies in preparation.

Culp Inc. reported first-quarter fiscal 2027 net sales of $54 million, up from $50.7 million a year earlier, driven by double-digit growth in its bedding segment. Bedding sales rose 13.2% to $31.8 million, while upholstery sales slipped to $22.2 million from $22.6 million, a result the company called generally comparable given one less selling week in the quarter. Gross profit was $15.4 million, or 28.5% of sales, including approximately $7 million in IEEPA tariff recoveries; excluding those recoveries, gross profit was $8.4 million, or 15.6% of sales, an approximately 17% increase over the prior year period. Net income was $6 million, or $0.47 per diluted share, compared with a net loss of $231,000, or negative $0.02 per diluted share, a year earlier, and adjusted EBITDA was $566,000 versus negative $938,000. The company ended the quarter with $10.2 million in cash and $13.3 million in outstanding debt, a net debt position of $3.1 million, roughly a 70% reduction from the end of fiscal 2026. Culp also announced that Chief Operating Officer Mary Beth Hunsberger will succeed Ken Bowling as Chief Financial Officer effective September 14, 2026, with Bowling staying through December to assist the transition. For the second quarter, Culp said it expects consistent sequential sales volumes with some growth over the prior year period and break-even operating income.

Anhui Anli Material Technology Co., Ltd. received 4 million yuan on September 8, 2026, as part of the remaining land reserve and relocation compensation incentive payment allocated by the Feixi County Natural Resources and Planning Bureau. With this payment, the company and its controlling subsidiaries have cumulatively received 172.08096 million yuan for the land asset reserve, accounting for approximately 83.91% of the total reserve and relocation compensation incentive amount of 205.08096 million yuan, with an outstanding balance of 33 million yuan yet to be received. The reserve matter originated from the State-owned Construction Land Use Rights Acquisition Contract signed in October 2021 between the company and the Feixi County Land Acquisition and Reserve Center, involving the land, properties, and assets of the Jinzhai Road plant area. The company stated that the payment received this time will have a positive impact on cash flow, and the asset disposal gain or loss has already been recognized in the first quarter of 2022. The specific accounting treatment is subject to the audit results.

Shanghai Sanmao has released its 2026 interim report. During the reporting period, the company achieved total operating revenue of 667 million yuan, an increase of 3.4097 million yuan compared with the same period last year, up 0.51% year on year, marking a second consecutive year of growth. Net profit attributable to the parent company was 12.8776 million yuan, an increase of 1.5368 million yuan from the same period last year, up 13.55% year on year, also rising for a second straight year. Net cash inflow from operating activities was 634,500 yuan. The company's asset-liability ratio was 57.42%, gross margin was 4.93%, and return on equity was 2.69%, ranking eighth among peers and up 0.27 percentage points from the same period last year. Diluted earnings per share were 0.06 yuan, up 14.29% year on year. Total asset turnover was 0.61 times and inventory turnover was 1,176.10 times, both ranking first among peers. The number of shareholders was 19,400, and the top ten shareholders held 37.21% of the total share capital.

Shanghai Sanmao released its 2026 interim report, showing a doubling of total profit for the period, while operating cash flow fell sharply by 97.42% year on year. The company achieved operating revenue of 667 million yuan, up 0.51% year on year; net profit attributable to the parent was 12.88 million yuan, up 13.55%; and non-recurring net profit was 7.09 million yuan, up 59.57%. The security services segment became the core engine of performance growth, with revenue of 172 million yuan, up 22.05% year on year, thanks to winning rail transit security inspection projects and expanding the existing market. Revenue from park property leasing was 17.5 million yuan, up 8.36% year on year, with an occupancy rate maintained at 98.18%. Total profit rose 105.15% year on year, mainly due to higher gross profit from security and leasing businesses, as well as non-recurring income of about 4.83 million yuan from consolidating the former joint venture Shanghai Biochip Gene Technology Company into the scope of consolidation. The sharp drop in cash flow was caused by reduced export tax rebate funds, indicating increased working capital pressure.

Erdos released its 2026 interim report on August 29, 2026. During the reporting period, the company achieved total operating revenue of 12.52 billion yuan, net profit attributable to the parent company of 1.416 billion yuan, and net cash inflow from operating activities of 1.875 billion yuan. The company's latest asset-liability ratio was 43.60 percent, ranking fifth among comparable companies that have disclosed data, up 2.30 percentage points from the previous quarter. Gross margin was 24.05 percent, ranking sixth. Return on equity was 6.61 percent. Diluted earnings per share were 0.51 yuan, total asset turnover was 0.27 times, and inventory turnover was 2.40 times, down 1.00 percent year on year. The company had 47,800 shareholders, and the top ten shareholders held 2.175 billion shares, accounting for 77.71 percent of total share capital.

Tongyizhong released its 2026 interim report. During the reporting period, total operating revenue was 516 million yuan, up 6.93% year on year. Net profit attributable to the parent company was 69.7198 million yuan, up 4.88% year on year. Net cash inflow from operating activities was 105 million yuan, up 27.31% year on year. The company's asset-liability ratio was 22.96%, gross margin was 29.12%, return on equity was 4.73%, and diluted earnings per share was 0.31 yuan. The number of shareholders was 10,800, and the top ten shareholders held 49.26% of the total share capital.

Erdos disclosed its 2026 semi-annual report on the evening of August 28. In the first half, it achieved operating revenue of about 12.52 billion yuan, up 5.88% year on year; net profit attributable to the parent company was about 1.416 billion yuan, up 43.19% year on year; and non-GAAP net profit was about 1.34 billion yuan, up 38.29% year on year. The company's business is divided into two major segments: apparel and power, metallurgy and chemicals. The apparel segment focuses on the production and sale of cashmere garments, while the power, metallurgy and chemicals segment is operated by its subsidiary Dianye Group, covering products such as coal mining and washing, electricity, ferrosilicon, chlor-alkali chemicals, synthetic ammonia and urea.